"However, the report may not be as positive as the sharp drop indicates. A Labor Department economist said one large state didn't report additional quarterly figures as expected, accounting for a substantial part of the decrease."

Initially, rumors started circulating that an entire state's worth of jobless claims was excluded.

The DoL was not immediately available to comment.

However, CNBC's Kelly Evans is reporting that the discrepancy is that "one state did not process & report its typical seasonal workload" and that a rebound next week is likely.